THREE more Land Scam This week: Fake Sellers

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DO NOT LIST LAND WITHOUT READING THIS!!!! This week, we have had two THREE land scam reports resulting in a contract cancellation in the MLS.  We remind all agents that many scammers are impersonating sellers who want to list land for sale. They claim they are the owner and use the owner’s real name, but do not live in town or unable to meet at the land in person.  These are savvy scammers who create fake email addresses that appear they belong to the actual owners. They manufacture fake licenses and ID documents. They are even getting bolder by willing to speak on the phone.   In a few cases in the past, scammers have succeeded in going through the closing process using remote signatures.

How can REALTORS® protect themselves and consumers from a scam?

  • Check RPR or the tax records to find the name and address of the owner of record. Different? That’s one red flag.
  • Check Forewarn and search on all of the information to see if it’s consistent. Email, Phone, Mailing and Physical address.
  • If the property is owned by an LLC or corporation, check the Secretary of State corporate records online to find the name and address of the officers.
  • Ask the seller to send you a copy of a government ID that matches the address on record. (driver’s license or passport)
  • Ask to see a copy of a tax bill, statement, or other local document you can recognize that contain the seller’s address.
  • Talk to the neighbors – in two cases, neighbors saw the land for sale and asked the real owners about it – leading to the discovery
  • Ask the person questions about the property that are not mentioned publicly.
  • Schedule a time to speak on the phone and/or Facetime or other form of video conferencing.
  • Use a trusted closing attorney that has procedures in place for verifying identity.

If you believe that a scam is occurring, withdraw the listing and immediately report it to:

  • the police department in the town or city in which the property is located.
  • the State Police and
  • the FBI Internet Crime Complaint Center(IC3) | File a Complaint
  • Note: If the seller sent closing documents by mail, handle it carefully. According to law enforcement, the package can be dusted for fingerprints.

To avoid this and other scams, trust your instincts.  If it sounds too good to be true, it probably is.

Also, if you post and share information to educate the public, remind them that there is a free notification tool which alerts homeowners by email when a new document is recorded in their name? If you own real estate in Berkshire County, you can use the Consumer Notification Link to create an account, and then register up to 3 properties.   https://cns.masslandrecords.com/.

Helping to stopping fraud early is your job – helping homeowners to quickly deal with fraud after the fact is also invaluable. Share!